Oaktree CEO Warns of Credit Market Risks

Armen Panossian, co-CEO and head of performing credit at Oaktree Capital Management, has highlighted the risks accumulating in credit markets. Speaking to Bloomberg, Panossian noted that the current strength of markets is confusing and that investors are underestimating underlying risks. In remarks at the Milken Institute Global Conference in California, he said it is difficult to understand why markets are so strong. Panossian emphasized that risks in credit markets are being ignored and that investors are misjudging the situation. The Oaktree executive stated that the underlying risks behind the current optimism in credit markets must be recognized. He added that market participants are not adequately considering these risks, which could lead to problems in the future. This is not investment advice.